Why Is the Crypto Market Up Today?

The total crypto market cap (TOTAL) and Bitcoin (BTC) noted recovery over the last 24 hours owing to improved macro-financial conditions. Altcoins benefitted from the same, and XRP (XRP) took the spot of the day’s best performer with an 8% rise.

In the news today:-

• Pi Network’s community sentiment poll on CoinMarketCap saw a sharp decline today, with allegations of bot activity influencing negative votes. Despite no clear evidence, the network’s supporters have previously swayed polls and ratings amid ongoing criticism and price setbacks.
• President Donald Trump will speak at the Digital Asset Summit in New York on March 20, marking the first time a sitting US president attends a crypto conference. This follows his hosting of the White House Crypto Summit, which provided key updates on the US Bitcoin Reserve and regulatory stance.

The Crypto Market Recovers

The total crypto market cap saw a $97 billion increase in the last 24 hours, reflecting mixed investor responses to the Federal Reserve’s decision to maintain US interest rates. The market’s reaction remains uncertain as it remains sensitive to broader economic signals.

TOTAL is currently trading at $2.77 trillion, having broken past the $2.75 trillion barrier. This move suggests that the market could be aiming for the next significant resistance level at $2.93 trillion. However, this upward momentum depends on the $2.75 trillion mark being sustained as support in the near future.

If the bearish sentiment prevails, the total crypto market cap could slide back below the $2.75 trillion level, potentially testing $2.61 trillion as a new support zone. This scenario would likely stem from renewed market concerns, signaling a shift in investor confidence.

Bitcoin Breaks Above Key Barrier

Bitcoin’s price increased by 3.79% today, reaching $85,846. This rise follows a successful breach of the $85,000 resistance, ending a week-long period of consolidation above $80,301. This bullish move signals that Bitcoin may continue upward provided the momentum is sustained in the coming days.

For Bitcoin to recover its previous losses, it must hold above the current support and aim for higher targets. The next key resistance level sits at $89,800, with a potential push towards $90,000. A successful breach of these levels could confirm the start of a stronger uptrend for Bitcoin.

However, if investor sentiment turns bearish, Bitcoin could experience a pullback. A failure to maintain support at $85,000 may trigger a decline back into consolidation, possibly testing $80,301 again. This would delay Bitcoin’s recovery, keeping it within the current range.

XRP Faces Resistance

XRP emerged as the top performer today, with an 8% rise. However, the broader market’s uncertainty is limiting substantial growth. Most other cryptocurrencies are experiencing similar minimal gains or declines.

XRP has yet to establish strong bullish momentum as it struggles against the $2.60 resistance level. If XRP manages to breach this barrier, it could potentially push toward the $2.95 level, a key resistance it failed to overcome earlier this month. This would signal a potential recovery for the altcoin.

If XRP fails to break through the $2.60 barrier, it may see a decline back to the support of $2.33 or lower. This would erase the recent gains and invalidate the bullish outlook. A fall to $2.14 or below could further dampen investor sentiment and delay any recovery.